Gold futures were following crude oil prices and stock markets higher this afternoon as the US dollar weakened slightly against other major currencies, whilst investors and traders bought positions and jumped back in after gold broke above its 200 day moving average.<\/p>\n
Latest Gold Price<\/strong><\/p>\n Gold for February delivery was adding $28.20 at $1,636.30 an ounce at the Comex division of the New York Mercantile Exchange. The gold price has traded as high as $1,641.40 and as low as $1,609.20 an ounce while the spot price was up $23, according to Kitco’s gold index.<\/p>\n Gold got an extra boost Tuesday as the US dollar drifted lower on news that rating agency, Fitch reaffirmed France’s triple A credit rating. Investors have been waiting for a downgrade from Standard & Poor’s and were worried other agencies would follow suit.<\/p>\n “We do need to close above $1,635 to really cement being in the midst of this range.” says Stan Dash, vice president of applied technical analysis at TradeStation.<\/p>\n Dash thinks that stocks and gold are still moving in tandem. “In the first 35 minutes of trading, the stock market backed off a little bit and so did gold. It backed off $5-$6 an ounce.” Dash thinks that means gold is trading as a commodity, a riskier asset, versus a currency or a safe haven.<\/p>\n Gold has been making steady gains in the last few years. It almost gained 8% in 2011, it’s 11th straight year of gains that outperformed many commodities and stock indexes. The record price for gold was made when gold reached $1,920 per ounce in early September 2011.<\/p>\n Gold is often viewed by the wealthy investors as a safe hedge against inflation and as a haven against the devaluation of paper currencies.<\/p>\n<\/p>\n